Reliance (NYSE:RS) Rating Increased to Strong-Buy at Zacks Research

Zacks Research upgraded shares of Reliance (NYSE:RS) from a hold rating to a strong-buy rating in a research report released on Monday,Zacks.com reports.

Other equities research analysts have also recently issued research reports about the stock. Wall Street Zen raised shares of Reliance from a “buy” rating to a “strong-buy” rating in a research report on Saturday. Citigroup reaffirmed a “neutral” rating on shares of Reliance in a report on Wednesday, July 29th. KeyCorp upped their price target on Reliance from $378.00 to $418.00 and gave the stock an “overweight” rating in a research report on Wednesday, June 24th. Seaport Research Partners increased their price objective on Reliance from $340.00 to $390.00 and gave the company a “buy” rating in a report on Tuesday, April 28th. Finally, Weiss Ratings raised Reliance from a “hold (c+)” rating to a “buy (b-)” rating in a research report on Monday, May 18th. One equities research analyst has rated the stock with a Strong Buy rating, two have given a Buy rating, five have issued a Hold rating and one has given a Sell rating to the company. According to MarketBeat, the company currently has an average rating of “Hold” and a consensus price target of $378.67.

Reliance Price Performance

RS opened at $415.72 on Monday. The firm has a market capitalization of $21.22 billion, a PE ratio of 24.17, a price-to-earnings-growth ratio of 1.10 and a beta of 0.96. The company has a debt-to-equity ratio of 0.22, a current ratio of 4.30 and a quick ratio of 2.27. The business’s 50-day moving average is $392.97 and its two-hundred day moving average is $352.73. Reliance has a 1 year low of $260.31 and a 1 year high of $419.83.

Reliance (NYSE:RS) last released its quarterly earnings results on Wednesday, July 22nd. The industrial products company reported $6.27 EPS for the quarter, beating the consensus estimate of $5.47 by $0.80. Reliance had a net margin of 5.65% and a return on equity of 12.51%. The business had revenue of $4.63 billion during the quarter, compared to analyst estimates of $4.26 billion. During the same period in the prior year, the firm posted $4.43 earnings per share. The company’s quarterly revenue was up 26.5% on a year-over-year basis. Reliance has set its Q3 2026 guidance at 6.400-6.600 EPS. Research analysts anticipate that Reliance will post 21.33 earnings per share for the current fiscal year.

Reliance Announces Dividend

The business also recently announced a quarterly dividend, which will be paid on Friday, August 28th. Investors of record on Friday, August 14th will be paid a $1.25 dividend. The ex-dividend date is Friday, August 14th. This represents a $5.00 dividend on an annualized basis and a yield of 1.2%. Reliance’s dividend payout ratio (DPR) is 29.07%.

Insider Activity at Reliance

In other Reliance news, SVP William A. Smith II sold 2,353 shares of the firm’s stock in a transaction on Tuesday, July 28th. The shares were sold at an average price of $414.21, for a total value of $974,636.13. Following the completion of the transaction, the senior vice president owned 19,394 shares of the company’s stock, valued at approximately $8,033,188.74. This trade represents a 10.82% decrease in their ownership of the stock. The transaction was disclosed in a filing with the SEC, which is accessible through the SEC website. Also, CFO Arthur Ajemyan sold 2,200 shares of Reliance stock in a transaction on Friday, July 31st. The stock was sold at an average price of $410.11, for a total transaction of $902,242.00. Following the sale, the chief financial officer owned 14,640 shares of the company’s stock, valued at $6,004,010.40. The trade was a 13.06% decrease in their ownership of the stock. The disclosure for this sale is available in the SEC filing. 0.40% of the stock is currently owned by insiders.

Hedge Funds Weigh In On Reliance

Hedge funds have recently made changes to their positions in the company. ProCore Advisors LLC purchased a new position in shares of Reliance in the fourth quarter worth about $18,787,000. Arjuna Capital purchased a new stake in Reliance in the fourth quarter valued at approximately $1,838,000. PFA Pension Forsikringsaktieselskab acquired a new position in Reliance in the 4th quarter worth approximately $61,317,000. Forsta AP Fonden acquired a new position in Reliance in the 4th quarter worth approximately $2,022,000. Finally, Fulcrum Wealth Advisors LLC purchased a new position in Reliance during the 4th quarter worth approximately $2,529,000. 79.26% of the stock is owned by institutional investors and hedge funds.

About Reliance

Reliance Steel & Aluminum Co (NYSE: RS) is a leading metals service center company that distributes and processes a broad array of metal products. The company offers cut-to-length, shearing, blanking, sawing, bending, machining and value-added services for carbon and alloy steel, stainless steel, aluminum, brass, titanium and specialty metal alloys. Its products serve diverse end markets, including energy, infrastructure, general manufacturing, transportation, aerospace and defense.

Founded in 1939 in Los Angeles, Reliance Steel & Aluminum has grown through a combination of organic expansion and strategic acquisitions.